CDC Plans $100M Investment

BEIJING -- CDC Corporation (Nasdaq: CHINA), focused on enterprise software applications, mobile applications and online games, today announced the creation of a US $100 million investment program whereby its business unit, CDC Mobile, will seek strategic investment opportunities in leading 3G content providers in North Asia and Europe as well as the creation of new original content for the 3G marketplace.

CDC Mobile will initially target its investment program to the North Asian countries of China, Japan and Korea which cumulatively have more than 600 million mobile phone subscribers, and where Japan and Korea are already early adaptors of 3G, with more than 60% of Japan subscribers already using 3G handsets. CDC Mobile will seek to invest in and partner with innovative content providers that are leveraging the rollout of 3G infrastructure to develop new content distribution channels, mobile communities, and offer rich content that previously was not possible in a 2G world.

"We are very pleased to announce the launch of this US$100 million 3G content partner program to expand on our existing CDC Mobile platform in China with strategic investment partnerships with leading 3G content providers and aggregators from Japan, Korea and Europe," said Peter Yip, Chief Executive Officer of CDC Corporation. "CDC Mobile will build on the success of CDC Software and CDC Games, leveraging the stringent formula of selecting and structuring strategic investments, creating additional value through CDC's proven formula of focus on operational excellence, cross selling and operational leverage with existing infrastructures and synergies with the other CDC companies. Just as we are pursuing now with CDC Software and CDC Games, as the CDC Mobile business unit establishes a successful track record of growth and profit, and prove its potential for accelerating growth, we will then prepare CDC Mobile for its eventual carve out."

CDC Corp.